As of this month, the bank will only sell Making Home Affordable Program refinance mortgages to Fannie Mae to be made into mortgage-backed securities, the bank said. No other mortgages will be sold to Fannie Mae.

Fannie Mae and Freddie Mac own about half of the nation's mortgages. Their purchases add liquidity to the mortgage market and allow banks to make more loans.

Bank of America spokesman Dan Frahm said the bank does not expect the decision to have a material impact on the business, and said the bank will use other sources of liquidity to continue to make loans.